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Complete Hospitality Study
1. For the past 15 years I have provided outstanding customer service in the retail, transportation, financial
and government Industries. Although I have been highly successful and have been recognized by my
peers, employers and clients for my dedication and achievements, my current and long term goal is to
transition that same passion and success to the hospitality industry. To ensure I could provide immense
value to a hotelier, I began a process to educate myself on all the important attributes and challenges of
the industry.
The first objective was to determine exactly what those attributes and challenges were. To accomplish
this task, I identified the most prestigious and influential hospitality schools & universities relying on
professional publications and the internet (US News and World Report, The Princeton Review, The
Journal of Hospitality & Tourism Research, and The bestschools.org etc...). Once I had a finalized list of
the influential hospitality schools & universities, I went to each individual school’s website and compared
the courses they offered vs. the other schools offerings. Any course or subject matter which was offered
by multiple schools helped me pinpoint which topics to study.
The next step was to gather the resources. The resources I employed consisted of internet searches,
textbooks, and industry publications. Once I had studied all the material, my next step was to speak with
a variety of hospitality professionals to obtain their perspective and guidance on further research via
social media sites like LinkedIn and Facebook.
Another strategy was to gain a greater understanding of guest perceptions regarding the hospitality
industry. Ex: What amenities are most important to them? What are guest perceptions on the industry
practices? What factors contribute to pleasant stays and which factors lead to dissatisfaction? To uncover
the answers to these important questions I dissected hundreds of reviews onTripadvisor.com. Finally I
studied a large sample of the J.D. Power and Associates 2011 Customer Service Champions to examine
any common traits among these champions or if any unique trait existed.
In addition, I was very fortunate enough to receive some advice from some of the AH&LA Stars of the
Industry award winners and many of the major chain and top third party management winners. This
presentation is a small sample of the hospitality topics I have studied and the statistics of the references I
utilized. By the end of this presentation, I am confident that the viewer/reader will be convinced of the
commitment I have to the hospitality industry and the benefits I would bring to a property or chain.
3. For the past seven months in order to strengthen my
understanding of the hotel industry and pursue a career, I
immersed myself in the studies, research and works by some of
the most experienced and knowledgeable personal in the
hospitality industry.
With the in-depth knowledge I acquired, coupled with my extensive
customer service experience and Excel skill set, I firmly believe
that I can provide significant contributions to a property or chain
seeking a consummate team player with the right attitude and
enthusiasm. For verification on how a customer service oriented
professional such as myself could provide immense value, just
copy these link to your browser
http://www.hotelmanagement.net/guest-satisfaction-trumps-hotel-location-study-says
http://www.hotelnewsnow.com/Articles.aspx/6454/ADR-guest-satisfaction-Opportunity-
and-action
These links provides reinforcement on the importance guest
satisfaction is to a property and/or a chain.
4. Areas of Study
Branding
Loyalty-Satisfaction
OTA- Intermediaries
Pricing
Guest Perceptions
Revenue Management
Food & Beverage
Innovation
Spa Industry
Casino-Gaming Uniform System of Accounts
Industry for the Lodging Industry
5. Areas of Study
Golf Industry
Workforce Scheduling
Perceptual Mapping
Rebranding and Rescaling
The Most Important Economic Indicators
Rate Fences
Franchised
vs.
Independent
Business vs. Leisure Travelers
6. Hotel & Hospitality Study Statistics
Over 100 Hotel Brands 35 Free Standing Spas
6,477 Hotels including 437 Extended 59 Resort Based Spas
Stay Properties
174,000 Stays
Over 500 financial
208,541 Guests statements
100 Casinos & 120 Indian Gaming
Hotel/Casino brands
Over 150 Reports & Studies
Over 200 PhDs and Industry Experts
Over 20 Universities-Business
Schools
7. Sampling of University-Business School Titles
Assistant professor of Associate professor of operations
services marketing management
Associate professor Professor of innovation &
of management and dynamic management and
organizational professor of strategy
behavior
Associate Director of
professor of the center
finance of tourism
research
Professor of
entrepreneurship Professor of
and personal information
enterprise systems
Clinical associate professor in the School of Hospitality, Tourism, and
Sports Management
8. Sampling of C-Level & Distinguished Titles
Managing Director at The Peninsula Beverly Hills
Marketing Analyst for the Venetian Resort Hotel Casino
President of Smith Travel Research
Vice President CWT Solutions Group, Asia Pacific
Chairman and CEO of Revenue Analytics
Marriott Professor of Lodging Management and Professor
in Charge of the Graduate Program
Executive Vice President of Marketing, Four Seasons Hotels
& Resort
Senior Vice President, Real
CEO, Revpar Guru Estate/Asset Management
Hilton Hotels Corporation
9. Sampling of C-Level & Distinguished Titles
Retired President of the Four Seasons
General Manager of The Mansion on Turtle Creek
Executive Vice President of Operations of Embassy Suites
General Manager of Disney's Polynesian Resort
Brand Manager of Courtyard by Marriott
Vice President of Hotel Operations Caesars Palace
Brand Manager of Marriott Residence Inn
President of Super 8 Motel General Manager Homewood
Suites
10. Sampling of Accolade and Award Winners Who Provided
Some Guidance
Certificate of Excellence Award from TripAdvisor
Condé Nast Traveler's “Best In The World" Readers Choice
Award
A U.S. News & World Report
AAA Four Best Hotels in the USA 2012
Diamond Award Finalist
Winner
Expedia Insiders Select Hotel
Wyndham Hotel Group's Outstanding Revpar Performance
Award Winner
Marriott International, Inc Hotel of the Year Winner
InterContinental Hotels Group,"Torchbearer Award"
12. Loyalty & Satisfaction
The differences (if any) of one-time guests and
frequent/loyal guests when selecting a hotel and their
satisfaction level
Should hotels offer
loyalty programs to
guests who book their
stay on internet–based
travel intermediaries?
Do loyalty programs really work?
Why casino loyalty programs outperform hotel loyalty
programs
The advantages-disadvantages-implications of loyalty
programs from the hotel and guest perspective
13. Online Intermediaries and Online Travel Agents
Advantages vs. Disadvantages of using intermediaries
The ADR, Revpar, and Occupancy consequences of
completely relying on, totally avoiding and
successfully integrating online intermediary
relationships
The result of rate inconsistency among the online
distribution channels and why rate parity matters.
The rise, descend and reemergence of the online
intermediaries and why they are specially
targeting the hospitality industry
14. Pricing
The financial dynamics of pricing rooms above and below a
hotel’s competitive set during economic expansion and
contraction
Why GOPPAR should be implemented in addition to RevPar
to measure performance
Rack Demand-
Rate Best Available Variable Based
Rate Pricing
Duration Controls
Value Pricing FIT Rate
Last Room Reference
Availability Rate Fences Pricing
15. Guests Behavior Reactions and Perceptions
How to quote prices to various demographic guests so they
perceive the rates to be significantly more honest,
acceptable, reasonable and fair
Do guests become more receptive to industry
practices over time?
Does educating guests about costs, advantages and pricing
practices alter their judgment of price fairness
What service and quality means to each generation and what
factors are important to them when selecting a hotel
What attributes contribute Conjoint analysis & Discrete
to the perception of price choice analysis (DCA)-based
unfairness customer choice modeling
techniques
16. Revenue Management
Which hotel segments have historically utilized and
underutilized revenue management pricing
What are the biggest issues that
revenue managers are facing
and what aspects of RM need
improvement
How revenue management has
extended to other parts of the hotel
(space, spa, and food & beverage)
How the type of hotel in addition to ADR and occupancy
influences a hotel’s profitability
What revenue management techniques are most profitable
and least profitable in economic expansion and contraction
17. Revenue Management
In terms of NOI percentage, what are the most profitable hotel
types
What are the most profitable hotels
in terms of total NOI dollars
The past and future of revenue
management
What is a bigger influence to a hotel’s
bottom line, occupancy or ADR?
How travel managers and industry consultants are advising
their clients to handle revenue management contracts with
hotels and why
The application and measure of success of RM in other
industries (NHL, MLB, PGA)
18. Food and Beverage
The effect tipping, service-charge policies and service-
inclusive pricing have on the perception of expensiveness
What pricing policy has proven to be perceived as less
expensive while simultaneously increasing average order
size
Optimal
restaurant
table
configuration
Which one of the brand equity attributes (brand awareness,
brand image, brand loyalty, and perceived quality) has the
strongest direct effect on revenue
Which restaurant wait-list policies and fences do diners find
acceptable and which ones do they the deem as being unfair
19. Franchising
Loyaltyy & Satisfaction
Is there a correlation between customer
satisfaction and the percentage of franchised
properties.
Why franchises change brands
Why independent hotels Advantages and
and national chain hotels disadvantages of
are joining forces being
Independent vs.
How independent hotels being part of a
national brand
can successfully compete
with the large chains
20. Spa Industry
How the design of the spa and treatment rooms can
increase/decrease profits
Global best practices for the spa industry
Historically, what is the optimal number of treatment rooms
to achieve the highest RevPat?
The advantages &
Backbar disadvantages of free
Deductions standing spas vs
resort/hotel spas
How to Make Smart Cost-
Cutting Choices
Key components to spa
revenue maximization
21. Golf Industry
How the events of September 11, 2001 and the financial
crisis of 2003 affected golf resort occupancies
compared to the national average.
In terms of ADR, occupancy
and RevPar what is the
difference in comparison to
resort properties and the
difference compared to all
properties
Perceived fairness practices in the golf industry
22. Why casino loyalty
How to incorporate guest programs are more
data to drive gamification and effective than hotel
to help create customized programs?
experiences.
How Tribal Casinos
Compare to
Commercial Casinos
What domestic casino regions have the highest
gaming & accommodation satisfaction and why?
23. Innovation
How to use interactive methods to elicit guest
perceptions and the benefits those methods
have over the traditional methods
What different sources do
business vs. leisure
guests use as hotel
information sources
What internet/social
media sites do female vs.
male travelers consult for
hotel information
What information sources do travelers consult during the
various stages of the hotel section process(beginning,
middle and late stages).
24. Innovation
What characteristics do technology –ready
individuals possess
What percentage of hotel
internet searches convert
to online reservations and
where do searchers go if
they switch to another
booking method
What demographic attributes
differentiate guests who use
the internet for hotel searches
25. Best Practices
Best practices from some the industry's most prominent
chains and properties:
The Peninsula Hotel The Pierre The Breakers Hotel
The Waldorf Astoria The Greenbrier The
Boulders
The Four Seasons Embassy Suites Hotel
The Mansion on Turtle Creek Wyndham Hotels and Resorts
+ 74 otheir
hospitality firms
26. J.D. Power and Associates 2011 Customer Service Champions
27. Guest Services Satisfaction
How much and to what extent in the lodging industry does
employee satisfaction mean and what it means to the
industry’s best practice champions?
What strategies do hospitality firms employ to increase
employee satisfaction?
What compensation
systems more positively
affect employee
performance?
The true costs of employee turnover
(Hard, Soft, and Opportunity)
Differences of satisfied stayers, satisfied switchers,
28. The The
Resort Extended
Industry Stay Market
The MICE Corporate
Segment Accounts
Franchise License
Cruise Agreements
Industry
Uniform System of Accounts for the Lodging Industry (USALI)
Measuring Shoulder Season
Housekeeping Revenue
Performance Enhancement
29. Pre 1990 Hotel Industry Milestones
In the 1980’s many hotel assets
were highly leveraged, with
loan-to-value ratios in the 75- to
In 1953 Marriott becomes the 80-percent range and
first hotel stock opening on the impossibly low debt-coverage
NYSE at .25 a share ratios.
In 1970 Hilton becomes the first
billion-dollar lodging and food
service company and the first to
enter the Las Vegas market
1988 Extended stay
1983-Westin is the first major hotel segment introduced
company to offer reservations and with Marriott's
checkout using major credit cards. Residence Inns and
VingCard invents the optical Holiday Corporation's
electronic key card Homewood Suites.
1985 American Airlines announced
the “Ultimate Super Saver Fare”
which is widely viewed as the birth
of revenue management
30. Post 1990 Hotel Industry Milestones
In 1993 The hotel
industry saw the
beginning of a 5 year
Hotel values fell by 9.8 percent surge. Hotel values
in 1990. An Arthur Anderson increased at an
study reveals that us hotels lost average annual rate
5.5 billion dollars of well over 20%
In 1991 With the recession in full force and
the Gulf War underway, hotel values fell by
an additional 27.7 percent. Average
occupancy dropped to 60.8 %, a 20 year low.
Industry sees record losses, 61.8 percent.
In 2001 the industry is rocked by the
events of September 11. U.S. hotels lose
1995 Choice and Holiday Inn are more than $700 million in revenue in the
the first to introduce online two weeks immediately following the
booking capability. terrorist attacks
1996 Best Western celebrates
its 50th anniversary, making
it the oldest continually
operating brand.
31. 2000’s Hotel Industry Milestones
2004 After three
years of declining In 2006 and 2007, the top 30
revenues, the U.S. hotel brands and the industry
lodging industry as a whole increased the
returns to positive hotel brand website booking
profit growth. contribution to as high as 76.1
Twenty-four new hotel brands launched
between 2005 and 2006, bringing the total
number of brands to 210 (compared to 81
brands in 1980).
The average daily rate (ADR) for a U.S. hotel room breaks the $100.00 mark. ADR reaches $103.87.
32. American Hotel & Lodging Association
Market Metrix
The Center for Hospitality Research at Cornell University
Hotelrevenuetools.com PKF
HotelExecutive.com.
Hospitality
Wharton – University of Pennsylvania Research
HotelMarketing .Com The International Society of
Hospitality Consultants
Hospitality Asset Managers Association (HAMA)
Hospitality
Sales & Hospitalitynet.org
Marketing
Association Journal of Revenue
International & Pricing
Management WWW.HOTELSMAG.COM
The American Customer
Satisfaction Index
33. ASIA Spa Institute
The Day Spa Association
American Gaming HotelManagement.Net Professional Beauty
Association Association
IBIS World’s Health Spa Resorts market research report
Valuation Resources.com Gaming Industry Observer
HVS Golf Services Associated Bodywork and Massage
Professionals
International Society of Hospitality
Consultants
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35. I initially considered a career in the hospitality industry when I accepted a finance contract position in the
Edison NJ area. Since I didn’t know how long the contract employment was going to last, I didn’t want to
sign a long term lease on an apartment so I rented a room on a monthly basis at an economy hotel. It
was during this period that I acquired my interest in the hospitality industry. For approximately eight
months I got to personally observe the operations of a hotel, from top to bottom. As I became more
knowledgeable about the hotel environment, I also became more confident about the level of success I
could provide to a property or chain and their operations. One of the reasons why I became very
interested in the hospitality industry and why I believe I can provide significant value is because I realized
that the factors that affect the success for a property or chain align perfectly with my personal strengths.
Guest Services &Satisfaction- I started my professional career as a store customer service manager for
a previous Fortune 500 electronics retailer where the store generated over $28M in annual revenues
where my team and I were able to win three consecutive divisional customer service awards. That early
success demonstrated to me the genuine, sincere interest and pride I have in satisfaction level of clients
and guests. One of the findings I uncovered from studying the best practices of the hospitality industry is
those companies who view customer service and guest satisfaction as a revenue generator rather than
an expense are usually those with higher ADR, and Revpar compared to their competitive set. Also in my
research, I came across an article written by the Executive Vice President of Marketing of a prominent
high end luxury hotel where she stated “On a given day in one of our hotels, it has been estimated that
i
there will be more than 4,000 guest–staff interactions” . 4,000 interactions is a plethora of opportunities for
a hotel to distinguish themselves from the competition, either good or bad.
Teamwork- When a person examines what factors contribute to a pleasurable experience for a guest,
some controllable factors include (Clean room, proper working devices, friendly staff and ease of check in
& out). In most situations, those factors are administered by different personnel in different departments
of a hotel. We all know that on a given day, anything can go wrong for a property, from something very
minute to a big issue such as loss of power or non functional air conditioning or heating. Regardless of
the issue, it is usually how the employees and management team handle the issue in the eyes of the
guest which determines if the remedy was successful or not. To exemplify how important teamwork is to
me, two of my managers had these to say about me and my level of teamwork “Kirk was always willing to
offer his assistance”, and “He handles pressure well, and will voluntarily work on anything that is required
to further the progress of the team”.
Flexibility/Adaptability- Another attribute which seems to be a necessary ingredient for success in the
hospitality environment which I have demonstrated is the ability to be flexible and be able to adapt to any
situation. As an example, during the peak season or on an unusual busy day a guest service agent might
have to exhibit a higher level of energy and operate with a sense of urgency and multitask. In the
shoulder or low season that same agent might focus on ways to improve revenue, efficiency or increase
occupancy. Included in the characteristics of flexibility and adaptability is the ability to prioritize and
effectively communicate. I have exhibited these characteristics extensively in my career. The same
managers have commented “For example, Kirk will answer and handle emails in between a lull in call
volume coming into the center. He is never idle, always busy and productive. It is because of this work
ethic that Kirk was Agent of the Month, two consecutive months. He won this first recognition his first
month in the center! Kirk quickly caught on to the training that was necessary to support our client and
was praised by the senior members of the team about his ability to capture minute details. This is just one
example among many of Kirk’s superior skills and admirable work ethics.”
i
If Discounting Doesn’t Work, What Does?
A Commentary on the CHR Report “Why Discounting Doesn’t Work”
Barbara Talbott, Executive Vice President of Marketing, Four Seasons Hotels & Resorts
http://www.hotelschool.cornell.edu/research/chr/pubs/reports/documents/b-talbott-cornell-article-oct-04-revised-by-gmt-grw-bt-
revision.pdf
36. Favorite Hospitality Quotes
“Whether you were a greeter at Wal-Mart or a sales manager or bookkeeper in another industry, these are
skills that can transfer easily to the hospitality industry.” Cathy Keefe
“When hospitality becomes an art it loses its very soul” Max Beerbohm
“There is no hospitality like understanding.” Vanna Bonta
“You’ve got to make your employees happy. If the employees are happy, they are going to make the
customers happy." John Willard Marriott
“The reason for our success is no secret. It comes down to one single principle that transcends time and
geography, religion and culture. It’s the Golden Rule – the simple idea that if you treat people well, the way
you would like to be treated, they will do the same.” Isadore Sharp
“Employees must be motivated rather than managed” Embassy Suites
“Technical skills can be taught to employees but without the right attitude and motivation the guest still
may leave unsatisfied.” John Sharpe
“Selecting employees with the right “attitude”, out-going, organized, and think on their feet” David Bowles.
“Hotels attempt a market position in an effort to boost market share. In the end however, position is at the
mercy of the customer.”
Master the hotel business and the business of the hotel
Hire for attitude, train for skill